Corn futures are near unchanged at midmorning.
· Corn is trading near unchanged, though modest strength in wheat and soybean futures has pulled futures from their earlier lows.
· USDA reported daily corn sales of 180,000 MT to Mexico for 2024-25.
· Ethanol production averaged 994,000 barrels per day (bpd) during the week ended Sept. 20, down 55,000 bpd (5.2%) from the previous week and 15,0000 bpd (1.5%) below last year. Ethanol stocks dropped 261,000 barrels to 23.524 million barrels.
· December corn is hovering above the 10-day moving average of $4.09 3/4, which is backed by support at the 20-day moving average of $4.07. Initial resistance stands at $4.13 1/4.
Soybeans are mostly 5 to 6 cents higher, while soymeal futures are narrowly mixed. Soyoil is 50 to 80 points higher.
· Soybeans have rebounded from earlier losses amid easing soymeal pressure and extended soyoil gains.
· Tropical Storm Helene produced heavy rain in the northeast Yucatan Peninsula early this morning. The storm will become a Category 3 hurricane in the next 24 to 30 hours and landfall is expected Thursday night over the western coast of Apalachee Bay, Florida. The storm will remain intense as it passes through northern Florida and Georgia, with serious agricultural damage expected.
· Argentina’s grain and soybean production could reach 143 MMT in the current growing season under normal weather conditions, according to the Rosario Grain Exchange. If conditions are drier, production could fall to 128.8 MMT. Given normal weather, the exchange says grain and soy exports in 2024-25 could total 101.5 MMT, the highest since 2020-21.
· November soybeans bounced prior to testing support at $10.30 1/2. Resistance at $10.44 1/2 is being tested, with additional resistance at Tuesday’s high of $10.58 1/4.
Winter wheat futures are mostly 3 to 5 cents higher, while HRS futures are mixed.
· Wheat futures are extending Tuesday’s gains despite negative outside markets.
· Ukraine’s wheat crop with at least 11.5% protein fell to 35.5%, signaling declining supplies of milling wheat.
· Ukraine’s grain exports in the 2024-25 July-June season stood at close to 9.8 MMT as of Sept. 25 versus almost 6.2 MMT last year, agriculture ministry data showed on Wednesday.
· December SRW wheat futures are trading above the 10-day moving average of $5.77 3/4, while initial resistance is at $5.86 1/2. Support lies at $5.72 1/2.
Live cattle are narrowly mixed, while feeders are posting slight-to moderate gains.
· Nearby live cattle are pausing following recent solid gains.
· With margins back in the red, packers have slowed throughput and are expected to slaughter less than 600,000 head of cattle this week, which would be the smallest for the week since 2015.
· Choice boxed beef prices rose 8 cents to $301.89 while Select fell 92 cents to $286.87, widening the Choice/Select spread to $15.02. Movement totaled 140 loads for the day.
· October live cattle are being limited by resistance $183.28, while initial support remains at $182.65, with additional support at $182.10.
Hog futures are mixed at midsession
· October hog futures are firmer but continue to trade sideways in consolidative trade. Deferred futures are modestly favoring the downside.
· The CME lean hog index is down 8 cents to $84.21 as of Sept. 23, marking a new low in the seasonal decline.
· The pork cutout value slid 18 cents on Tuesday to $93.96 amid drops in all cuts aside from primal loins and hams. Movement was strong at 358.2 loads for the day.
· October lean hogs are trading within Tuesday’s range, with initial resistance standing at $82.79, while initial support lies at $81.72 and is backed by the 200-day moving average of $81.46.